Presented below are two independent situations. (a) On March 3, Kitselman Appliances sells $805,800 of its receivables to Metlock Inc. Metlock assesses a finance charge of 3% of the amount of receivables sold. Prepare the entry on Kitselman Appliances’ books to record the sale of the receivables. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles Debit Credit Mar. 3 enter an account title for the journal entry on March 3 enter a debit amount enter a credit amount enter an account title for the journal entry on March 3 enter a debit amount enter a credit amount enter an account title for the journal entry on March 3 enter a debit amount enter a credit amount (b) On May 10, Fillmore Company sold merchandise for $5,800 and accepted the customer’s America Bank MasterCard. America Bank charges a 4% service charge for credit card sales. Prepare the entry on Fillmore Company’s books to record the sale of merchandise. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles Debit Credit May 10 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount
Presented below are two independent situations. (a) On March 3, Kitselman Appliances sells $805,800 of its receivables to Metlock Inc. Metlock assesses a finance charge of 3% of the amount of receivables sold. Prepare the entry on Kitselman Appliances’ books to record the sale of the receivables. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles Debit Credit Mar. 3 enter an account title for the journal entry on March 3 enter a debit amount enter a credit amount enter an account title for the journal entry on March 3 enter a debit amount enter a credit amount enter an account title for the journal entry on March 3 enter a debit amount enter a credit amount (b) On May 10, Fillmore Company sold merchandise for $5,800 and accepted the customer’s America Bank MasterCard. America Bank charges a 4% service charge for credit card sales. Prepare the entry on Fillmore Company’s books to record the sale of merchandise. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles Debit Credit May 10 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Presented below are two independent situations.
(a)
On March 3, Kitselman Appliances sells $805,800 of its receivables to Metlock Inc. Metlock assesses a finance charge of 3% of the amount of receivables sold. Prepare the entry on Kitselman Appliances’ books to record the sale of the receivables. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
|
Date
|
Account Titles
|
Debit
|
Credit
|
|---|---|---|---|
|
Mar. 3
|
enter an account title for the
|
enter a debit amount
|
enter a credit amount
|
|
enter an account title for the journal entry on March 3
|
enter a debit amount
|
enter a credit amount
|
|
|
enter an account title for the journal entry on March 3
|
enter a debit amount
|
enter a credit amount
|
(b) On May 10, Fillmore Company sold merchandise for $5,800 and accepted the customer’s America Bank MasterCard. America Bank charges a 4% service charge for credit card sales. Prepare the entry on Fillmore Company’s books to record the sale of merchandise. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
|
Date
|
Account Titles
|
Debit
|
Credit
|
|---|---|---|---|
|
May 10
|
enter an account title
|
enter a debit amount
|
enter a credit amount
|
|
enter an account title
|
enter a debit amount
|
enter a credit amount
|
|
|
enter an account title
|
enter a debit amount
|
enter a credit amount
|
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